SaintLeo MGT325 All Modules Discussions Latest 2019 September

MGT325 Finance for Managers

Module 1 Discussion

What does it mean to
say that managers should maximize shareholder wealth “subject to ethical
constraints”? What ethical considerations might enter into decisions that
result in cash flow and stock price effects that are less than they might
otherwise have been?

MGT325 Finance for Managers

Module 2 Discussion

Investigate some of
the Sarbanes-Oxley (SOX) Act’s provisions for companies from the Internet,
periodicals, or academic journals. Select one of these provisions, briefly
describe it, and indicate why you think (or don’t think) financial statements
will be more trustworthy if company financial executives implement this
provision of SOX.

MGT325 Finance for Managers

Module 3 Discussion

In early 2014, the
United States government had more than $17 trillion in debt (approximately
$55,000 for every U.S. citizen) outstanding in the form of Treasury bills,
notes, and bonds. From time to time, the Treasury changes the mix of securities
that it issues to finance government debt, issuing more bills than bonds or
vice versa.

With short-term
interest rates near 0 percent in early 2014, suppose the Treasury decided to
replace maturing notes and bonds by issuing new Treasury bills, thus greatly
shortening the average maturity of U.S. debt outstanding. Discuss the pros and
cons of this strategy.

MGT325 Finance for Managers

Module 4 Discussion

Risk is a major
concern of almost all investors. When shareholders invest their money in a
firm, they expect managers to take risk with those funds. What do you think are
the ethical limits that managers should observe when taking risk with other
people’s money?

MGT325 Finance for Managers

Module 5 Discussion

Financial executives
insist that there should be no separation between an individual’s personal
ethics and his or her business ethics. “It’s a jungle out there” and
“business is business” should not be excuses for engaging in
unethical behavior. Many firms have ethics codes which are based on economically
rational concepts such as integrity and trustworthiness, which guide the
decision maker in attempting to increase shareholder wealth. Of course, some
employees sometimes choose to not comply with their firm’s ethics code.

How do ethics codes
apply to project selection and capital budgeting? What are the potential risks
to a company of unethical behaviors by employees? What are potential risks to
the public and to stakeholders? Please explain how Saint Leo’s core value of
integrity is reflected in your answer.

MGT325 Finance for Managers

Module 6 Discussion

Cash flow projections
are a central component to the analysis of new investment ideas. In most firms,
the person responsible for making these projections is not the same person who
generated the investment idea in the first place. Why?

MGT325 Finance for Managers

Module 7 Discussion

There is some evidence
that firms deliberately manage earnings in advance of a major stock repurchase
(buyback). Do you believe that corporate managers tend to manipulate their
stock’s value prior to a buyback, or do you believe that corporations tend to
initiate a buyback to enhance shareholder value?

MGT325 Finance for Managers

Module 8 Discussion

Is there a conflict
between maximizing shareholder wealth and never paying bribes when doing
business abroad? If so, how might you explain the firm’s position to
shareholders asking why the company does not pay bribes when its foreign
competitors in various nations clearly do so? Please explain how Saint Leo’s
core value of responsible stewardship is reflected in your answer.

MGT325 Finance for Managers

Module 1 Discussion